Contributions The contributions in your DC account and accumulated interest (earnings and losses) are for you to use after you retire. The DC can serve to supplement your pension benefit. Voluntary Member Contributions In addition to the 3% mandatory member contribution, you may contribute up to an additional 10% of your compensation (gross wages). This additional 10% can be all post-tax, all pre-tax (if enrolled in the Voluntary Pre-Tax Contribution account prior to January 1, 2018), or a combination of both post and pre-tax (if enrolled prior to January 1, 2018). If you want to make voluntary contributions to your DC, talk to your employer’s payroll staff. Voluntary Pre-Tax Contributions As of January 1, 2018, no further enrollments for voluntary pre-tax contributions are allowed. If you were enrolled prior to January 1, 2018, the percentage of each pay period's wages which you chose to contribute on a pre-tax basis will continue as it is an irrevocable election and cannot be changed as long as you work for the same employer in any TRF-covered position. If you leave employment and return to the same employer, your pre-tax contribution will be reinstated, but cannot be changed or stopped. Voluntary Post-Tax Contributions When you make post-tax voluntary contributions, federal, state, and Social Security taxes are withheld. Your take home pay is reduced by the total amount contributed. Because these funds have already been taxed, they will not be taxed again; however, it is important to know that any earnings or interest accrued on these funds is still taxable at the time of distribution. To make after-tax voluntary contributions, your employer must agree to deduct the amount requested (up to 10%) and submit the contributions to INPRS. You can stop making post-tax contributions or change the amount deducted at any time. 3.3 Rollover Funds into TRF Hybrid If you are not retired and have money in your DC account, you can also roll over funds from an IRA or other qualified retirement plan into TRF Hybrid. Complete the Transfer Funds from an Outside Account into a TRF RSA form located on the TRF forms page on the INPRS website and submit it to the address on the form. NOTE: TRF can only accept transfers of taxable (pre-tax) funds. You can roll over funds into your RSA from any of the following: • A qualified plan described in IRS Section 401(a), 403(a), or an annuity contract or account described in Section 403(b) • An eligible plan maintained by a State or Local Government of a State, or an agency or instrumentality of a State or Local Government of a State under IRS Section 457(b) • An Individual Retirement Account (IRA) described in IRS Section 408(a) or 408(b) • A traditional or conduit IRA The RSA may be invested in any of the available investment options. See the Investment Options section of this handbook for information about investing your RSA funds. See also the Withdrawals, Distributions, and Loans section this handbook for information about RSA distributions. Teachers' Retirement Fund Hybrid Plan Member Page 12 of 47 Handbook Effective: 07/01/2024